The hearings were held in response to interim charges handed down by Lt. Gov. David Dewhurst concerning HOAs and MUDs. Holding the hearings in Houston, rather than at the State Capitol in Austin, afforded the committee the opportunity to hear testimony from Texans who might not be able to travel to Austin to testify.

The first of nine interim charges directed the IGR Committee to study current law governing homeowners associations to ensure that homeowners are given both adequate protections against unfair foreclosures and proper channels for redress in case of foreclosure.

For nearly four hours, the committee, of which I am a member, heard witnesses describe their battles with HOAs as well as representatives of HOAs relate their difficulties with homeowners.

Members of the committee were especially interested in hearing testimony on whether an expedited judicial foreclosure process would benefit homeowners living in HOAs. Such a procedure might balance the notice and opportunity to be heard in court, which is a part of a more formal judicial foreclosure, with the speed and lower cost of a more informal non-judicial foreclosure.

In 2005, I filed a bill to prohibit HOAs from foreclosing on homes in cases where the owner owes only fines and attorney fees. The substance of this bill was added to omnibus HOA bills in 2007 and 2009. Neither bill passed.

I expect bills to be filed that would limit the foreclosure power of HOAs when the Legislature convenes in January 2011. Hopefully, answers for many of the problems surrounding the regulation and authority of HOAs can be agreed upon during the time between regular legislative sessions.

Members of the IGR Committee will review the testimony they heard in Houston and consider suggestions made by both homeowners and HOA representatives when they make recommendations for possible legislation to be filed when the Legislature convenes in January 2011.

Next week, I will discuss MUDs and testimony that witnesses presented at the hearing in Houston.

State Sen. Jeff Wentworth (R-San Antonio) represents portions of the Metrocom; he can be reached at: jeff.wentworth@senate.state.tx.us